PIT Finalization Declaration: Employer Guide

The PIT finalization declaration for salary payers is a mandatory legal obligation under the Law on Tax Administration 2019. This process requires precision in income reporting and statutory form completion to ensure compliance. Long Phan Consulting Company analyzes the relevant legal basis and execution sequence below.

Jurisdictional Authority

According to Subsection 58, Part II, Decision 3078/QĐ-BTC (2025), the authority to resolve the PIT finalization declaration belongs to the Provincial Tax Department or the direct managing tax agency.

For enterprises, the tax authority managing the specific area where the headquarters is located receives the dossier. Administrative units, international organizations, or representative offices follow territorial management principles. Provincial agencies typically manage large enterprises and Foreign Direct Investment (FDI) entities, while local tax branches handle Small and Medium Enterprises (SMEs).

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Documentation Standards

Based on Subsection 58, Part II, Decision 3078/QĐ-BTC (2025), the required PIT finalization declaration dossier includes specific documents.

Taxpayers must prepare the following forms found in Appendix I of Decree 126/2020/NĐ-CP:

• Form No. 05/QTT-TNCN: Declaration for organizations and individuals paying taxable income from salaries and wages.

• Appendix No. 05-1/BK-QTT-TNCN: Detailed list of individuals subject to tax calculation according to the progressive tax schedule.

• Appendix No. 05-2/BK-QTT-TNCN: Detailed list of individuals subject to tax calculation at the full tax rate.

• Appendix No. 05-3/BK-QTT-TNCN: Detailed list of dependents for family circumstance deductions.

Procedures for PIT finalization declaration for organizations and individuals paying income from salaries and wages

Submission Channels

Organizations and individuals paying income may select one of three methods stipulated in Decision 3078/QĐ-BTC:

• Electronic Submission: This preferred method utilizes the Provincial Tax Portal or authorized Value Added Tax transaction services (T-VAN).

• Direct Submission: Filing directly at the tax authority headquarters.

• Postal Service: Submission via the post office, where the date of submission is the postmark date.

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Process Workflow

The procedure follows a standardized two-step protocol to ensure unified tax management.

Step 1: Declaration Preparation Income payers prepare the PIT finalization declaration dossier. The deadline for submission is the last day of the third month following the end of the calendar year or fiscal year.

Step 2: Agency Reception

• Physical/Postal Filing: The tax authority receives and processes the file according to regulations.

• Electronic Filing: The electronic data processing system handles reception, verification, acceptance, and result notification automatically.

Cost Analysis

Subsection 58, Part II, Decision 3078/QĐ-BTC specifies “None” regarding administrative fees. The state collects no money for dossier reception.

However, enterprises must account for operational costs necessary for compliance:

• Digital signature maintenance (Token).

• Accounting software with tax export integration.

• T-VAN service fees.

• Professional tax consulting services for complex payroll structures.

Compliance Inquiries

This section addresses technical questions regarding the procedure.

Competent Authority Identification

Authority lies with the Provincial Tax Department or the direct managing agency where the headquarters operates (Subsection 58, Part II, Decision 3078/QĐ-BTC).

Statutory Deadlines

Income payers must submit the PIT finalization declaration by the last day of the third month after the calendar or fiscal year ends.

Required Forms

The dossier requires Form 05/QTT-TNCN and Appendices (05-1, 05-2, 05-3/BK-QTT-TNCN) under Decree 126/2020/NĐ-CP.

Submission Methods

Three methods exist: direct submission, postal service, or electronic filing. Electronic filing is the standard recommendation.

State Fees

No administrative fees apply to this procedure.

Conclusion

Adhering to the PIT finalization declaration regulations ensures financial transparency and legal standing. Long Phan Consulting Company commits to assisting clients in resolving compliance issues. Contact Hotline 1900636389 for expert technical support.